Here’s how analysts read the market pulse:
Commenting on the day’s action, Rupak De, Senior Technical Analyst at LKP Securities said that Nifty remained confined within the range of the previous session, suggesting that traders are staying on the sidelines awaiting a clear signal. “A fall below 24,700 could trigger a market correction, potentially leading to a decline toward the 21-EMA, which is currently positioned around 24,428. Overall, sentiment is likely to remain sideways to bearish as long as the Nifty stays below 25,000. However, if the Nifty reclaims the 25,000 level, the sentiment may turn bullish, and short bets would lose their appeal,” De said.
US markets
Wall Street stocks fell early Wednesday as markets monitored congressional activity on US President Donald Trump‘s tax cut proposal, while Treasury bond yields pushed higher.
The yield on the 30-year US Treasury bond surged back above five percent following reports that House Republican leaders agreed to a bigger tax deduction for highly-taxed US states — a move that could boost the proposal’s odds in Congress but likely also increases the deficit.
Tech View
Decoding Nifty on charts, Bajaj Broking Research said that the index has formed a small bull candle with an upper shadow which remained enclosed inside previous session trading range signaling consolidation around the 24,800 levels. This means that in the near term the index could enter a consolidation phase within the 24,400-25,200 range to work off the overbought conditions developed in the daily stochastic oscillator after the recent sharp up move.
“Within the broader consolidation a move above yesterday’s high (24,946) will open upwards towards 25,100-25,200 levels in the coming sessions. While a breach below the last 2 sessions almost identical low (24,669) will open extended decline towards 24,500-24,400 levels. Key short-term support lies at 24,350-24,400, a confluence zone marked by the prior week’s low, the 20-day EMA, and the 61.8% Fibonacci retracement of the recent upswing (23,935-25,116),” this brokerage said.
Most active stocks in terms of turnover
KPR Mill (Rs 1,310 crore), Cochin Shipyard (Rs 230 crore), GRSE (Rs 100 crore), Bharat Electronics (BEL, Rs 158 crore), Dixon Technologies (215 crore), Bharat Dynamics (BDL, Rs 95 crore) and Mazagon Dock (Rs 91 crore) were among the most active stocks on BSE in value terms. Higher activity in a counter in value terms can help identify the counters with highest trading turnovers in the day.
Most active stocks in volume terms
Vodafone Idea (Traded shares: 8.24 crore), Harshil Agrotech (Traded shares: 5.92 crore), Yes Bank (Traded shares: 1.26 lakh), KPR Mill (Traded shares: 1.14 crore), EaseMyTrip (Traded shares: 1.08 crore), Suzlon Energy (Traded shares: 91.07 lakh) and Reliance Power (Traded shares: 60.06 lakh) were among the most actively traded stocks in volume terms on BSE.
Stocks showing buying interest
Shares of Tata Teleservices (Maharashtra), Trident, JK Tyre, Go Digit, Glaxosmitkline Pharma, Caplin Point, TBO Tek and LT Foods were among the stocks that witnessed strong buying interest from market participants.
52 Week high
Over 70 stocks hit their 52 week highs today while 25 stocks slipped to their 52-week lows. Among the ones which hit their 52 week highs included Aarti Pharmalabs, A B Infrabuild, APL Apollo Tubes, BEL and CEAT.
Stocks seeing selling pressure
Among the large cap names were IndusInd Bank, Kotak Bank and Power Grid. Other stocks which witnessed significant selling pressure were Dixon Technologies, Newgen Software, Aster DM Healthcare, Radico Khaitan, Signatureglobal and Aegis Logistics.
Sentiment meter favours bulls
Action in heavyweights like HDFC Bank, ICICI Bank and Bharti Airtel lifted the markets the most, ensuring a positive closing. Out of the 4,115 stocks that traded on the BSE on Wednesday, 2,242 stocks witnessed advances, 1,746 saw declines while 127 stocks remained unchanged.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)